Our local operations span across Australia, US, UK, South east Asia and the Middle East. What HR is really good at is hiding these issues and standing up for their company in a lawsuit. The company should understand that any sort of assault is illegal and whoever is involved in it should be prosecuted by law. The investors were being influenced and misinformed to stay away from funding in the venture capital of Lyft company. Wyman, K. M. (2017). 2021 StudyDriver.com - Big database of free essay examples for students at all levels. Ethical issues are a great concern for the company. Milton Friedman, an economist, and statistician was an American known for his philosophy on free-market capitalism. This was not the only occurrence of sexual harassment, according to Ms. Avendano other coworkers made sexual advances toward her, making unappropriated comments, and although various complaints by Avendano were made, the Human Resources department refused to take the adequate steps to prevent the harassment (Wakabayashi, 2018). Ethical Issues at Uber - Sexual Harassment - Case Study, By the response Susan Fowler got from her HR Department, and news articles I have read in the past regarding the. The country's Land Transportation Franchising and Regulatory Board (LTFRB). Though there may raise the counter-argument that we are under constant surveillance by government bodies like the police, the moral difference in it being conducted by a private company should be understood. Uber Is In Dire Need of Ethical Leadership. But Amazon has benefited, throughout its growth, from a trump card: its use of a virtual shopfront makes its overheads significantly lower than bricks-and-mortar rivals. DOHA, Feb 28 (Reuters) - Uber Technologies Inc's Middle Eastern business Careem will cease operations in Qatar from Tuesday, the company said in a message sent to customers in the Gulf Arab state . The leaders, right from its former CEO and co-founder, Travis Kalanick, and senior management have been accused of sexual harassment and discriminating employees from certain races (Stark, 2017). Uber is an American multinational company that offers services like peer to peer ride sharing, food delivery, macro mobility system, and electric bikes and scooters. In addition, we discussed Milton Friedmans philosophy and how it potentially influences executives at Uber. Uber Eats. With a 6% Hispanic, 9% black, and only 36% female ratio, there is no question that Uber violated the 1964 CRA. Uber is a brand that has faced both ethical and legal issues. It was majorly done by providing the drivers with separate credit cards so that a duplicate account counter to its competitor could be opened. (The issue would be average pay, not that a driver will necessarily get the minimum wage for every hour they do Uber-related driving.) Their first years sales were $700,000. Retrieved from The New York Times: https://www.nytimes.com/2017/02/19/business/uber-sexual-harassment-investigation.html?module=inline, Ivanova, I. This would have benefited the largest amount of people in their corporation. The biggest issues Uber faces include legal action because drivers are not licensed, rider and driver safety, protection and security of customer and driver information, and a lack of adequate insurance coverage. All content of the Dow Jones branded indices S&P Dow Jones Indices LLC 2019 and/or its affiliates. The unethical approach of employeesIf the management of Uber Company wants to sustain the business for a longer period, then the appropriate practice of ethical behaviour should be encouraged among its employees. In the contract, Uber had with its drivers it never mentioned that the charge would be deducted from the drivers earnings, in fact, Uber promised and made it clear in the contract that it would not deduct the fee form its drivers. Geuras, D. and Garofalo, C. (2002). The engine of Ubers growth to date has been the US$11.5 billion it has raised from banks and investors. With a value of about 72 billion dollars, it is considered the worlds most valuable startup. My hope is that Uber starts to take the safety of its customers seriously and provides stricter background checks on its employees. These are staggering amounts, and to make sense of them we need to understand that Ubers business model is the same as Amazons. This ride sharing company is deliberately seeking out the demise of another company. Use tab to navigate through the menu items. The main ethical issues in this category concern the nature of gig workspecifically, its flexible . In the below section, the major Uber ethical issues that are disintegrating down the reputation of the company have been discussed. Lyft is positioning itself as the ethical alternative to Uber. Ensuring HR has a significant seat at the table. Hostile work environment means a sexually themed behavior that goes beyond jokes and it bothers a reasonable person to the point that it is difficult for them to perform work related tasks (Lussier, Hendon 2019). The Department of Human Resources told Fowler that her direct supervisor was a high performer and they wouldnt feel comfortable punishing him for what was probably an innocent mistake (Isaac, 2017). The report understandably sparked outrage. 2. Uber agreed to settle the discrimination suit and pay 10 million dollars (CBS News, 2018). An Examination of Uber's Responsibility to Their Drivers. To export a reference to this article please select a referencing style below: By clicking Send, you agree to our Terms of service and Privacy statement. Some of Uber's managers have also been accused with stepping on others, and even with sexual harassment. Total Assignment help is an online assignment help service available in 9 countries. Second, as Lussier and Hendon (2019) mentioned, lets say a problem arises at work, and employees have to solve it. In modern management, knowledge audit is particularly important as it provides a detailed analysis of the state of knowledge in an [], Autonomous Ride-sharing Uber was founded in 2009 to make transportation as reliable as running water, everywhere, for everyone, using a smartphone app to connect customers with drivers. Our professional writers can rewrite it and get you a unique paper. Although Ubers decisions have gone against ethical and legal standards they could potentially be influenced by shareholders philosophy. Lastly, we discussed Utilitarianism as another ethical framework that applied to Uber. Students who find writing to be a difficult task. Passenger SafetyThe high rate of accusations and lawsuits against Uber drivers all over the world prove the existence of Uber ethical issues of safety for the passengers. That's almost as lame as "mistakes were made," the non-apology apology by President Richard Nixon's spokesperson Ron Ziegler about Watergate. 3/22/2021. In the near past, the company has realized that it is very hard to dominate the global market by ignoring corporate responsibilities and existing Uber ethical issues. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. But as later things blew up, Uber quickly apologised for some of the managers actions, had female executives give positive testimonials on how good it is to work for this company, and examine workplace policies and procedures (Lussier, Hendon 2019). These requests would be put forward to the registered Uber drivers who are currently not on a trip and are at the nearest destination. Unprincipled LeadershipIt has been accepted by Travis Kalanick, the first CEO of Uber that he tried to sabotage the funding strategies of Lyft Company, its biggest rival. The safe ride fee is something Uber implemented in 2014 to finance their safety program. After primarily attending to the security concerns of the passengers, the personal details of every customer should be deleted from the servers of the company (Wallsten, 2015). Masyarakat, Kebudayaan dan Politik, 30(4), 333-343. our extensive database of written samples to find the inspiration or research youre looking In November, a New York court dismissed Uber's lawsuit challenging a city law limiting the number of licenses for ride-hailing services. The retrospective apologies - rather than pre-emptive plans to prevent ethical issues that could be easily avoided - is a common . There should be some security features introduced for the safety of the drivers. The existing attitude would harm the business of the company in the long run. Either the driver has to bear it, and so is motivated to look to rival employers, or the customer does, with the same outcome. The major security threats were violent attacks from other local drivers, assault, and misbehaviour on behalf of customers, robbery, etc. What began in 2009 as a luxury car service in San Francisco is now valued at $62.5 billion and operates across 71 . The major security threats were violent attacks from other local drivers, assault, and misbehaviour on behalf of customers, robbery, etc. Effectively, what both companies surely rely on is investors subsidising the prices customers pay in the short term, in return for a long-term monopoly with higher prices. All Rights Reserved. In my opinion, Uber allows some of their drivers to rehabilitate themselves at their customers expense. There is a great tendency among commentators to focus on the capabilities of Ubers app, when making sense of its explosive growth across the world. This is not an example of the work written by professional essay writers. You can find a skilled professional who can write any paper for you. Uber is a global company with services in over 70 countries, so for them it is extremely important to be diverse. National Bureau of Economic Research. Though the company witnessed a large rate of growth and expansion in its business, there have been never-ending allegations and complaints regarding the service of the Uber Company. Isaac, M. (2017, February 19). Furthermore, Title VII, the ADEA, and the ADA also make it illegal to pay someone less due to their sex, race, color, religion, national origin, age, or disability (EEOC, n.d.). Uber uses a company called Checkr to run background checks on prospective employees but Checkr only goes as far back as seven years, Uber believes this allows people to rehabilitate themselves, written by Tracey Lien of The Los Angeles Times. Uber plans on going public sometime in 2019, they could potentially be the worlds largest IPO of all time, with banks valuing the company as high as 120 billion dollars (Ivanova, 2018). You can get your custom paper by one of our expert writers. A wealth of data at your fingertips. Let's fix your grades together! The denials were a result of her reports of misconduct to the company. Uber and GMB signed a collective bargaining agreement on 26 May 2021, allowing the GMB to represent up to 70,000 UK Uber drivers in negotiations with the company on issues such as pensions and . This essay was donated by a student and is likely to have been used and submitted before, Free samples may contain mistakes and not unique parts. Its growth to date has been so costly that even after the raft of regulations it has managed to sidestep, and measures forcing down the income of its drivers, it is losing billions every year. This is a case study review about Uber - a global, app based Taxi Company. Ubers hope must be that when it gets to this stage there will be no alternatives left to chose from. While shops have used economies of scale to operate first nationally, then internationally, for over a century, taxi companies have remained highly localised. Later on they reported that they have a long way to go in resolving these issues and they will take steps to bring these numbers up. All rights reserved. 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Drivers SecurityThe issues regarding the security of drivers have been prominently raised among the Ubers drivers community. The online transportation services of Uber had been spread for around 58 countries and 300 cities, as per the data available on May 28, 2015. have further made an impact on the company's reputation. Ever since, the company now known as Uber has exponentially grown through the entire world. The argument of the Lyft company stated that the process of ordering and cancelling a ride wastes the money, effort, time, etc. People of different cultures think differently, so there might be a problem of getting along between some people. Same Frizell explains how Lyft told CNNmoney that Uber employees have called and canceled more than 5,000 rides. Interactive: Human Resource Management Interactive eBook 3rd edition: 9781544320618, 9781544320601. https://www.vitalsource.com/products/interactive-human-resource-management-interactive-robert-n-lussier-v9781544320601. Sorry, we could not paraphrase this essay. 2023 gradesfixer.com. Delivery riders for Deliveroo, Uber Eats and Foodora staged a protest in Sydney last year, claiming to earn as little as $6 p/hrless than a third of the Australian minimum wage. Software, hardware, people and data those components will be analyzed further. Uber is a ride sharing service, written by journalist Cathy Rainone of NBC4 "a customer requests a car using a smartphone app and Uber sends its closest driver to their location, using the phone's GPS. Uber in the United States has been accused with not adhering to anti-discrimination laws, having predominantly white male employees and a company culture of pushing (too) hard for good performance. Uber has suspended its services in Philippines after the national regulator banned it from operating for one month. Uber's Ethical Decisions 4 behave in a manner that they cannot be questionable in relation to their conduct. They have become a challenge when dealing with the case that has . This essay has been submitted by a student. Unethically Poaching down the drivers of the competitor company. Uber's tracking device is merely a way to advance its business interests. It is looking as though, in many territories such as London, Ubers survival will rely on concrete measures to better care for both its drivers and customers. The benefits of a diverse workforce at an organization such as Uber are described above, but there exist challenges as well. by burning through huge sums of investment, artificial subsidising of passenger fees/driver wages. Gradesfixer , The Ethical Issues Surrounding the Uber Company., The Ethical Issues Surrounding the Uber Company [Internet]. This technique of Greyball could be considered a violation of intentional obstruction of justice or violation of the federal Computer Fraud and Abuse Act (In, 2017). 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